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Senate Co-Sponsorship Memoranda
Senate of Pennsylvania
Session of 2017 - 2018
Regular Session
MEMORANDUM
| Posted: | September 18, 2024 09:52 AM |
|---|---|
| From: | Senator Daniel Laughlin |
| To: | All Senate members |
| Subject: | Establishing a Minimum Threshold for the Budget Adjustment Factor for Nursing Facilities |
| In the near future, I will be introducing legislation aimed at establishing a minimum threshold for the Budget Adjustment Factor (BAF), which plays a crucial role in determining how much of our Commonwealth’s investment reaches nursing homes to provide long-term care. Nearly two decades ago, the BAF was introduced and has since reduced the funding agreed upon by the legislature for daily patient care in these facilities. Most recently, the BAF was set at 0.79, meaning only 79 cents of every dollar allocated to skilled nursing actually makes it to the care facilities. This has had disastrous effects across Pennsylvania, leading to closures and the displacement of vulnerable seniors. Currently, Pennsylvania’s skilled nursing facilities are forced to operate quarter by quarter, held captive by an outdated BAF, which is set solely by the Department of Human Services through regulatory processes. However, if the legislature steps in to set a minimum BAF floor at 0.90, operators would have more predictability regarding the resources they will receive. This would allow them to make essential investments in their facilities and workforce with confidence—benefiting seniors, healthcare workers, and our economy as a whole. It’s important to note that fewer than 5% of the General Assembly members serving today voted to establish the BAF originally. Yet each year, we invest billions of dollars into senior care without addressing the flawed system that funnels those dollars. Please join me in co-sponsoring this legislation, which will bring greater transparency, stability, and adequate funding for long-term care facilities across the Commonwealth. |